Now that the US Presidential Election is over, investors and Forex traders are shifting their focus away from the uncertainties surrounding the election, and concentrating on budget issues. The next hurdle is the fiscal cliff, and concerns about that fiscal cliff are weighing on high beta currencies today. In earlier trading, shortly after the announcement that President Barack Obama had won another term, the US dollar dropped. The fall … “US Dollar Index Rises as Fiscal Cliff Looms”
Month: November 2012
RBNZ Thinks NZD Will Maintain Strength
The New Zealand dollar advanced today against its US peer as the nation’s central bank expressed positive outlook for the currency’s exchange rate. The kiwi was down against the Japanese yen. The Reserve Bank of New Zealand mentioned in its Financial Stability Report some good developments in the global economy. Such positive changes “created a general ârisk-onâ environment which has supported a number of currencies such as the NZD”. The sentiment may worsen, … “RBNZ Thinks NZD Will Maintain Strength”
5 Reasons Why Greece Could Leave the Euro-Zone After the
Greece could leave the euro-zone after the US elections. This speculation isn’t necessarily related to the report that Europe wants to help Obama get re-elected. There are quite a few other reasons that support a Grexit in upcoming weeks – some are directly related to the elections, and other are just related to the timing. … “5 Reasons Why Greece Could Leave the Euro-Zone After the”
Market Sentiment Positive for Commodity Currencies, Benefiting CAD
The Canadian dollar climbed today as stocks and commodities rallied, increasing the attractiveness of currencies tied to economic growth. The loonie gained against the euro for a fourth session in a row, reaching the highest level since October 16. The risk sentiment was good across markets today. The Standard & Poorâs 500 Index of shares gained 0.8 percent. The S&P GSCI Index climbed as much as 2.3 percent, indicating rising commodity prices. Crude oil, … “Market Sentiment Positive for Commodity Currencies, Benefiting CAD”
Trade Idea: Sell EUR/USD on Obama Win, Buy AUD/USD on
The results of the US elections will start flowing in the next few hours. They are expected to rock the markets and impact currencies, which are currently experiencing the “calm before the storm”. Update: Obama is re-elected – EUR/USD jumps towards resistance – will the dollar continue weakening, or could this turn around? The euro and the … “Trade Idea: Sell EUR/USD on Obama Win, Buy AUD/USD on”
How to Trade the US Presidential Elections with EUR/USD
The world’s No. 1 economy is holding elections for the top post: President of the US as well as for Congress. The so called “fiscal cliff” is a major, burning issue in the near term, that the next occupant of the White House will have to deal with promptly. There is a significant difference between the … “How to Trade the US Presidential Elections with EUR/USD”
AUD/USD: Trading the Australian jobs Nov 2012
The Australian Employment Change indicator, released monthly, is an important leading indicator which often has a significant impact on the markets. An unexpected reading (higher or lower than the estimate) could affect the movement of AUD/USD. A reading which is higher than the market forecast is bullish for the Australian dollar. Here are the details and 5 possible … “AUD/USD: Trading the Australian jobs Nov 2012”
Brazilian Real Rises on Inflation Expectations
The Brazilian real rose today amid the positive sentiment on the Forex market and on speculations that data will show an increase of Brazil’s inflation. Analysts estimated that the IPCA inflation index increased to 5.44 percent in October from a year ago, accelerating from September’s 5.28 percent. The government data will be released tomorrow. The general market mood was also positive. Europe’s fundamental data was not particularly good today, … “Brazilian Real Rises on Inflation Expectations”
Higher Commodity Prices Lead to Stronger Rand
The South African rand rose today as it followed gains of raw materials ahead of the presidential election in the United States of America today. The positive outlook for US fundamentals also contributed for the gains of the rand. Earlier, riskier assets were a bit soft because of uncertainty caused by the US election. Today, the market sentiment has turned. The Standard & Poorâs GSCI Index of commodities climbed as much as 1.1 percent, the highest level since October … “Higher Commodity Prices Lead to Stronger Rand”
RBA Does Not Cut Interest Rates, Aussie Jumps
The Australian dollar surged today after the Reserve Bank of Australia refrained from lowering interest rates. Such decision surprised Forex traders as they had been sure that the central bank would cut borrowing costs and that cut was priced in. The RBA left its main interest rate at 3.25 percent at today’s policy meeting. The central bank mentioned downside risks that were caused mainly by the situation … “RBA Does Not Cut Interest Rates, Aussie Jumps”